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Can margin be changed during the life of contract?

changed contract life margin
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Can margin be changed during the life of contract?

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Yes, margin % changes during the life of contract depending on the volatility in the market. It may so happen that you have taken your position and 20% margin has been blocked for the same. But later on due to the increased volatility in the prices, the margin % is increased to 25%. In that scenario, extra margin would be blocked for all open positions. In absence of the required additional margin, your position may be squared off. It is advisable to keep free buying power available to safeguard against such events.

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Yes, margin % can be changed during the life of the contract depending on the volatility in the market. It may so happen that you have taken your position and 25% margin is taken for the same. But later on due to the increased volatility in the prices, the margin % is increased to 30%. In that scenario, you will have to allocate additional funds to continue with open position. Otherwise it may come in MTM loop and squared off because of insufficient margin. It is advisable to keep higher allocation to safeguard the open position from such events.

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Yes, margin % can be changed during the life of the contract depending on the volatility in the market. It may so happen that you have taken your position and 25% margin is taken for the same. But later on due to the increased volatility in the prices, the margin % is increased to 30%. In that scenario, you will have to allocate additional funds to continue with open position.

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